STAAR Surgical adds 30-day go-shop to Alcon transaction

[Documents about mergers and acquisitions m&a with a pen.]
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STAAR Surgical (STAA [https://seekingalpha.com/symbol/STAA]) announced that it amended its merger agreement with Alcon to add a new 30-day go-shop period.

The new agreement allows STAAR to proactively solicit third-party proposals through Dec. 6, according to a statement [https://seekingalpha.com/pr/20299104-staar-surgical-announces-amendments-to-alcon-merger-agreement]on Friday. In addition, Alcon has agreed to give up any matching rights should a superior proposal be made during the go-shop period.

STAAR isn't required to pay a termination fee to Alcon if STAAR terminates the merger agreement to accept a superior proposal from a qualified bidder. STAAR postponed the special meeting to vote on the Alcon deal until Dec. 19 after postponing it previously.

The amended merger agreement comes after proxy advisers and shareholders had come out against the deal, recommending that STAAR (NASDAQ:STAA [https://seekingalpha.com/symbol/STAA#hasComeFromMpArticle=false#source=section%3Amain_content%7Cbutton%3Abody_link%7Cfirst_level_url%3Anews]) shareholders reject the deal. Several large holders, including Broadwood Partners, STAAR Surgical's biggest holder with a ~27% stake, have come out against the deal, publicly saying they plan to vote against it. [https://seekingalpha.com/news/4491272-staar-surgical-largest-holder-oppose-alcon-bid#hasComeFromMpArticle=false#source=section%3Amain_content%7Cbutton%3Abody_link%7Cfirst_level_url%3Anews]

"This go-shop process will either produce a superior proposal or it will validate the merits of our proposed merger with Alcon. Either way, STAAR stockholders win.” STAAR CEO Stephen Farrell said in the statement.

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